|
Why Enact a Sales Tax Holiday on Energy Efficiency Products? Winter is just around the We urge State policy makers to help their constituents lower their monthly energy bills and relieve pressure on the heavily constrained grid by enacting a temporary statewide sales and compensating use tax holiday on products to efficiently heat and seal homes. Specifically, we urge them to consider immediate sales tax exemptions for ENERGY STAR® qualified products (e.g., natural gas furnaces, electric heat pumps, windows, programmable thermostats, and household appliances) and weatherization materials like insulation, caulk and weather stripping as specified in the ENERGY STAR Home Sealing program.
Which States Have Already Enacted a Sales Tax Holiday? According to our research, Georgia is the only state this year to have enacted a statewide temporary sales tax holiday for certain energy efficient products, yet Connecticut, Illinois, Kansas, New York, Pennsylvania, Rhode Island, and Vermont are currently considering passage of similar legislation or executive orders. Our goal is to encourage the enactment of sales tax holidays across the entire Midwest and Northeast regions by mid-to-late November.
While this policy is in effect you would pay NO sales tax on qualifying energy-efficient products!
Resources:
For more information about sales tax holidays please contact Sean Garcia, Policy Associate, at the Alliance to Save Energy at policyinfo@ase.org or (202) 530-2257.
|

corner, and citizens in the Northeast and Midwest are facing significant increases in home heating costs compared to last year, 61% and 31% respectively. Given the expected price spikes, a sales tax exemption on Energy Star qualifed products and weatherization materials has the potential to substantially reduce the “energy footprint” of buildings in these regions and help families save money on their monthly home heating costs. 
